The increase has been driven by wider gains in global equity markets, but also expectations that the housing market in Britain is improving, particularly in the south east of England, where Crest is focused.

Data on mortgage approvals, housing transactions and house prices are all going the right way in the UK. Official data from the Office for National Statistics yesterday said that house prices are 2.6pc higher than a year ago.

The recovery in the market was confirmed by Crest's half–year results for the six months to April 30. Revenues rose 39pc to £192m, while pre–tax profits rose from £16m to £22.2m, despite £5.9m of costs from the flotation. There was no dividend, but Crest has pledged to begin a "progressive" dividend policy with the payment of a final dividend later this year.

Stephen Stone, chief executive, was bullish for the future, revealing that Crest's forward sales are up 50pc on last year.

Crest, like its peers, had a torrid time following the collapse of Lehman Brothers. This was because the banking crisis caused mortgage approvals to collapse and therefore demand for new homes plummeted. At the same time, Britain's housebuilders had to face the consequences of ill–advised and debt–fuelled spending sprees on land.

Today, though, the painful financial restructurings are behind Crest, which was controlled by a consortium of banks and then US hedge fund Varde before it floated.

It is now able to benefit from buying discounted land during the credit crunch, stable house prices and government initiatives to boost the market.

The stimuli from the Government have been particularly helpful to Crest, with 25pc of its sales backed by state support.

Some economists claim that George Osborne's proposals are irresponsible, particularly "Help to Buy", which assists homebuyers with a 5pc deposit to secure a mortgage by providing 20pc of the value of the property as an equity loan.

Mr Stone dismissed concerns that this could cause a bubble, but there is little doubt that the scheme is beneficial for homebuilders – it brings more potential customers in the UK within reach of buying a new Crest Nicholson home.

The biggest challenge for the industry, Mr Stone said, will be keeping up with demand by building enough houses.

With such momentum in the housing market and margins robust, Questor believes the residential property sector looks an attractive investment.

Crest may be trading at a dividend yield of just 1.4pc, but it is trading at a more attractive 11.3 times estimated 2014 profits. Buy.